Consumer behaviour Seminar 2 Chapter 3 - 7 Affect and Cognition and Marketing Strategy

1. Marketing Strategy 2008 Consumer behaviour Seminar 2 Chapter 3 - 7 Affect and Cognition and Marketing Strategy

2. Chapter 3 Introduction to Affect and Cognition

3. The Wheel of Consumer Behavior

4. Affect and cognition • Two types of mental responses to stimuli in the environment of the consumer • Affect – feeling responses • Cognition – mental responses

5. Nivåer av affektiv respons

6. The affective system • The system is reactive • We do not have direct control of our emotions • Affective responses are physically felt in the body • The system will responses on practically all stimuli • Most responses are learned

7. What is cognition? • To understand the environment • To evaluate the environment • To plan and solve problems to attain goals • To compare alternatives and to make decisions • Thinking is central for all these processes

8. The relationship between affect and cognition • Different opinion among researchers • Affect and cognition are independent systems • Affect depends on cognitive processes • Affect is the dominating system • Affect and cognition are heavily interdependent systems Reciprocal Determinism!

9. A cognitive model of consumer decision making

10. The three basic cognitive processes in decision making • Can be used to identify sequences in the processes • Interpretation of stimuli through attention • Processes of integration that build attitudes, intensions and decisions • Processes of memory storing information and retrieving information

11. Chapter 4 Consumers’ Product Knowledge and Involvement

12. Knowledge structures in memory on three levels of aggregation

13. Means-end chains • The three different types of product knowledge can be related to a model of cause and effect • These models are used commonly to analyse and understand consumer behaviour • Methodology: Laddering interviews; Why? How come? What did you think then? Why? Using focus groups and depth interviews

14. Laddering • in-depth, one-on-one structured dialog that draws out the connections people make between product attributes, the consequences of those attributes, and the human values linked with those consequences (means-end chain). • Interviews last between forty-five minutes to two hours and generally recorded so that interviewers do not lose the detail of what is said.

15. Laddering Interview • Laddering begins by identifying the most important distinguishing characteristics of the brand for a given usage situation and then moving up and down the means-end chain to get a complete picture of attribute-consequence-value identities and linkages. • Why is thatimportant to you?

16. Top-of-mind imaging • The respondent is asked to give one or more first-thought associations for each of several brands or product types. • Then, the respondent is asked why the characteristic is -a positive or -a negative and the responses are further probed to uncover the ladder. • Top-of-mind imaging identifies the most conspicuous characteristics of a brand, but not always the characteristics that differentiate it from a close competitor.

17. Grouping similar brands • This method uncovers the way respondents group products together and the reasons they use for forming product groups. • Then the primary reason for group membership, either a positive or negative characteristic, can be elicited and laddered.

18. Preference and usage • Comparing brand preference and brand usage is one of the most direct and commonly used methods for eliciting brand distinctions. • Brands can be ranked with respect to (1) preference and (2) frequency of use. Then, brands can be directly compared against each other based on these rankings using such questions as, "why did you rank Brand A higher than Brand X?" and/or "why do you use Brand B more often than Brand A?"

19. Laddering questions • "what is it about the brand that makes it that way?" • "what is it about the brand that gives you that benefit?" • "how can the brand deliver that benefit?“ • "what is the brand missing to give it that defect?"

20. More laddering questions • "why is that important to you?" • "how does that help you out?" • "what do you get from that?" • "why do you want that?“ • "what happens to you as a result of that?"

21. Even more laddering questions • "why do you want to avoid that?" • "why is that negative to you?” • “how does that interfere with what you are doing?" • "what's wrong with that?"

22. General probing techniques 1. Basic probe: Repeat a question. 2. Explanatory probe: “Can you give an example?” or “Can you explain that?” 3. Focussed probe: “What type of…did you use?” 4. Silent probe: Keep silent and wait……………. 5. Rephrase the question: “So, the question was…. What else can you tell me about that?” 6. Giving ideas: “Have you thought about ….?” 7. Mirroring: The interviewer says what the interviewee has just said in his own words.

23. Laddering Pitfalls • Respondents often provide generic answers that have no specific meaning. For example, "satisfied" can be either physical (feeling full after a meal) or psychological (feeling content with oneself. Likewise, "happy" can have multiple meanings, including feeling happy about something accomplished and feeling happy for another person, and it can have varying intensity

24. More problems • Respondents tend to say "it's a habit" or "I've always done it that way" when they cannot think or do not want to think of the reason for their usage or consumption behavior.

25. Even more problems • I like it! Although similar to a generic statement, this phrase occurs frequently in laddering and can almost always be handled the same way. For example, the interviewer -can ask,-"could -you describe that feeling for me" or "what is it about the brand that you like."

26. Levels in means-end chain

27. Exemples of means-end chains

28. Means-end for a Mobile Phone

29. Knowledge structures in the form of procedures/scriptsMethodology: Observations using “think and talk” method

30. Consumer involvement

31. An example of a customer typology • Brand loyalists (high involvement with brands and product group) • Routine brand buyers (low involvement with product group but high with brands) • Information seekers (high involvement with product group but low with brands) • Brand switchers (low involvement with brands and product group)

32. A cognitive model of consumer decision making

33. Chapter 5 Attention and Comprehension

34. Attention and evaluation Hierarchy of effects model • Peter & Olson • Exposure to Information • Intentional exposure • Accidental • Attention processes • Subconcious attention • Focussed attention • Comprehension • Fill • Awareness • Comprehension • Conviction • Action

35. Chapter 6 Attitudes and Intensions

36. A cognitive model of consumer decision making

37. The concept of attitudes • 1900s concept • Two basic definitions • Three components (Fill page 62) • Cognitive component (learn) • Affective component (feel) • Conative component (do) • One dimensional model (Peter & Olson) • Positive or negative feeling about an object

38. Levels of attitudes

39. Beliefs, salient beliefs and attitudes

40. Fishbein modell (multiattribute modell)

41. The Fischbein teory • Only salient beliefs influences attitudes. Typically the number of salient beliefs are not more than 7-9. • The general attitude is decided by two factors: • The link between the characteristic and the object (Does the object have the desired characteristic?) • The evaluation of the characteristics positively or negatively (Is this good or bad?)

42. The employment and staffing companyA Fishbein analysis • Project in marketing course 2007 • Sofia Hägglund och Sofia Pedersén • Interviews with customers and the customers of competitors • Industry with few competitors

43. Factors • Co-operation between staffing company and customer company • Price level • Competent personnel • Capacity for quick delivery

44. Fishbein´s Modell

45. Using Attitude Research to Develop Marketing Strategies • Make an attribute become salient! • Increase the feeling that the object has the attribute! • Increase the evaluation of a known attribute! • Adding new knowledge. Adding new attributes.

46. An important parallell • Strategy maps according to Porter and others • Attitude analysis according to Fischbein and others • You need quite some knowledge to decide on dimentions! • Compare to Means-End analysis

47. The link between attitude and behaviour is in general not conclusive

48. Theory of Reasoned ActionAttitudes Social processes and Intentions

49. Chapter 7 Consumer Decision Making

50. En kognitiv modell över konsumentens beslutsfattande